How the Minimum Wage Helped Wreck Puerto Rico’s Economy

Apr 25th, 2016 * RECOMMENDED READINGS, Business, Economics, Labor, Minimum Wage Laws, Money Bill B. May 1 min read

Jack Salmon writes:  Puerto Rico is in crisis and drowning in debt. Now it looks like the island’s Development Bank, set up to raise living standards in the territory, will collapse. Congress is rushing to provide some help, but it also needs to consider the effects of federal regulations on the island. Foremost among these is the federal minimum wage.  

 

Why Capitalists Are Repeatedly “Fooled” By Business Cycles

Dec 22nd, 2015 * RECOMMENDED READINGS, Business, Economics, Government, Regulation Bill B. May 1 min read

Frank Shostak says:  According to the Austrian business cycle theory (ABCT) the artificial lowering of interest rates by the central bank leads to a misallocation of resources because businesses undertake various capital projects that — prior to the lowering of interest rates —weren’t considered as viable. This misallocation of resources is commonly described as an economic boom.  

 

Politicians and The Economy

Dec 20th, 2015 Business, Economics, Free Enterprise, Government, Politics, Regulation Bill B. May 2 min read

by Bill B. May I only caught snippets of the Democratic debate last evening.  When it comes to progressives, there isn’t much new under the sun, so I didn’t waste a couple hours.  I did listen to the opening statements and a bit more.  What was clear, especially from Hillary, was that they would fix the economy; they would lead the economy out of the…

 

The New Budget Bill

Dec 19th, 2015 Budget, Business, National Debt, Taxes Bill B. May 1 min read

by Bill B. May Here we go again.  And with a supposedly conservative leader in the House.  On the surface, there are few cuts in government expenses in the bill but there are a number of tax cuts.  That should warm the hearts of conservatives who believe that taxes (and government) are weighing down the economy.   But it won’t.   These tax “cuts” are special interest reductions…

 

California’s Problem Is There’s No Plan B

Dec 18th, 2015 * RECOMMENDED READINGS, Business, Economics, Labor, Taxes Robert May 1 min read

Carson Bruno writes: On the macro level, California is finally coming out of the Great Recession, but on a micro level, this recovery is precariously balanced on the shoulders of one region. If something were to happen to the Silicon Valley-Bay Area region, the Golden State currently has no Plan B. This isn’t meant as a critique of the other regions of California, but rather…